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BP (BP) Gains As Market Dips: What You Should Know
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In the latest trading session, BP (BP - Free Report) closed at $28.50, marking a +1.75% move from the previous day. This move outpaced the S&P 500's daily loss of 2.95%. Meanwhile, the Dow lost 2.37%, and the Nasdaq, a tech-heavy index, lost 0.33%.
Heading into today, shares of the oil and gas company had lost 14.81% over the past month, lagging the Oils-Energy sector's gain of 4.93% and the S&P 500's loss of 3.75% in that time.
Investors will be hoping for strength from BP as it approaches its next earnings release. On that day, BP is projected to report earnings of $1.15 per share, which would represent year-over-year growth of 49.35%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $51.59 billion, up 41.37% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.65 per share and revenue of $219.96 billion. These totals would mark changes of +21.73% and +33.96%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for BP. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.9% higher within the past month. BP is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, BP is currently trading at a Forward P/E ratio of 6.02. Its industry sports an average Forward P/E of 6.13, so we one might conclude that BP is trading at a discount comparatively.
It is also worth noting that BP currently has a PEG ratio of 2.37. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Oil and Gas - Integrated - International stocks are, on average, holding a PEG ratio of 0.93 based on yesterday's closing prices.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 23, which puts it in the top 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
View the Zacks #1 Rank List
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BP (BP) Gains As Market Dips: What You Should Know
In the latest trading session, BP (BP - Free Report) closed at $28.50, marking a +1.75% move from the previous day. This move outpaced the S&P 500's daily loss of 2.95%. Meanwhile, the Dow lost 2.37%, and the Nasdaq, a tech-heavy index, lost 0.33%.
Heading into today, shares of the oil and gas company had lost 14.81% over the past month, lagging the Oils-Energy sector's gain of 4.93% and the S&P 500's loss of 3.75% in that time.
Investors will be hoping for strength from BP as it approaches its next earnings release. On that day, BP is projected to report earnings of $1.15 per share, which would represent year-over-year growth of 49.35%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $51.59 billion, up 41.37% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.65 per share and revenue of $219.96 billion. These totals would mark changes of +21.73% and +33.96%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for BP. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.9% higher within the past month. BP is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, BP is currently trading at a Forward P/E ratio of 6.02. Its industry sports an average Forward P/E of 6.13, so we one might conclude that BP is trading at a discount comparatively.
It is also worth noting that BP currently has a PEG ratio of 2.37. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Oil and Gas - Integrated - International stocks are, on average, holding a PEG ratio of 0.93 based on yesterday's closing prices.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 23, which puts it in the top 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.